Overview
Redcar and Cleveland, a locality with diverse economic activities, exhibits notable strengths in sectors like professional services, construction, and real estate. The region’s employment landscape shows moderate growth, with a total of 17,559 employees and a notable percentage of businesses experiencing growth. However, challenges persist in areas like new company formations and business continuity, as indicated by the number of company cessations.
Employment and Business Growth
- Total Employees: Redcar and Cleveland employs 17,559 individuals. The 8.91% employee growth signifies a healthy, expanding job market.
- Employee Raisers: 57 companies have contributed to this employment growth, indicating a robust core of expanding businesses.
- Top Sectors by Number of Companies: The leading sectors are professional, scientific, and technical activities (713 companies), followed by construction (662) and real estate (484). This diverse sectoral presence underpins the local economy’s resilience.
- Top Sectors by Growth: Sectors showing significant growth include Chemicals, Electricians, Civil Engineering Services, Technology/IP-based businesses, and Other Industrials, each with one major company contributing to the growth. These sectors, although smaller in number, are pivotal for innovation and economic diversification.
Business Continuity
- Company Cessations: The data shows a worrying trend of 5963 company cessations, which could indicate challenges in sustaining business operations over the long term.
- New Companies (2 Years): 1385 new companies have been established in the last two years, reflecting a dynamic entrepreneurial environment.
- Scale-ups: The presence of 17 scale-ups suggests a nurturing environment for business growth and development.
Gender Representation and Company Dynamics
- Gender Representation in Founders: 23.81% of founders are female, while 76.19% are male. This indicates a gender gap in entrepreneurial activity.
- Gender Representation in Directors: Female directors constitute 26.45%, and male directors 68.93%. The higher male representation in leadership roles is a point of concern for gender diversity.
- Age Distribution of Directors: A broad age distribution among company directors, with significant representation in the 40-60 age bracket, suggests experienced leadership in the business community.
Innovation and International Business
- Exporters: There are 71 exporters, indicating international business engagement.
- Companies with Foreign Parentage: 55 companies with foreign parentage suggest strong international links and investment.
Intellectual Property and Innovation
- Patent Owners and Grantees: There are 60 patent owners and 6 grantees, highlighting a focus on innovation and intellectual property.
Conclusion
Redcar and Cleveland’s economic landscape is characterised by a diversified sector presence and moderate employee growth. However, challenges in gender diversity, company continuance, and a high number of company cessations are areas requiring attention. The presence of scale-ups, patent owners, and international business engagements are positive indicators of the region’s potential for future economic resilience and growth.